Transcript Example
Rules overview
(1 hour presentation)
User instructions
• This ppt deck is designed to provide a basic
presentation for internal use in your organisation.
• You can customise it to suit your agency and your
audience.
• Please read carefully through the slides and make
any changes you feel are appropriate.
• You will need to add information on slide 2 “the
meeting name & date” and 29 “internal contact.”
You will need to select the right slide from slides 9
and 10.
Government Rules of Sourcing
An overview
Meeting name
meeting date
Introduction
What are the Rules?
The Government Rules of Sourcing are a
minimum standard of procurement practice
endorsed by Cabinet.
What do they cover?
Focus mainly on the
sourcing stages of
the procurement
lifecycle
Why are the Rules important?
Set the standard for procurement
Strengthen accountability
More consistent process
Encourage commercial practice
Get more suppliers involved in
delivering to government
Who do the Rules apply to?
State Services (1) are those
entities covered by the whole of
government approach to
procurement:
•
•
•
•
•
Crown agents
Independent Crown entities,
Autonomous Crown entities
Crown entity companies
Crown Research Institutes
must have regard to the
Rules.
Rule 6
When do they apply?
Value thresholds:
Type of procurement
• Goods
• Services
• Refurbishment works
• New construction works
Value threshold
$100,000 +
(Excludes GST)
$10 million +
(Excludes GST)
Rules 7 & 8
Interpretation
Our agency is required to apply the Rules
All ‘must’ rules are mandatory
All ‘should’ rules are good practice
more
information
definitions
guides
tools
templates
examples
Interpretation
Our agency is required to “have regard” to the
Rules.
This means taking account of the good practice
standards and other requirements in the Rules,
unless there is a good reason not to.
more
information
definitions
guides
tools
templates
examples
Rule #1 apply the Principles
Rule 1
Estimating value
Estimate the maximum total value over
the whole life of the contract
Include:
everything required for full delivery
options to purchase more / to extend contract
all contracts that may result from the procurement
Fees, commissions etc
Exclude GST
Rule 9
Basic rule: advertise
Government should openly advertise
“Wherever possible an agency should use
open competitive procurement processes
to give all suppliers the opportunity to
compete.”
Rule 14
‘Sufficient time’
Agencies must allow suppliers sufficient
time to respond
Take into account:
Nature and complexity of
procurement
Level of detail you need
Opportunities for subcontracting
Level of risk
Rule 26
Minimum time period
Minimum time periods by process:
Procurement process
• Request for Quote
• Registration of Interest
• Expression of Interest
• Request for Tender
• Request for Proposal
Minimum time period
13 business days
20 business days
25 business days
Rule 27
Allowable reductions
Deductions for:
Prior listing in APP
All documents available
electronically
Suppliers’ responses
accepted electronically
Note: Different processes allow different numbers of days for reductions.
Rule 28
How does that work?
Example: one-step Request for Tender
Minimum Time Period
25 business days
Allowable reductions:
• Prior listing in APP
• All documents available electronically
• Suppliers’ responses accepted
electronically
- 3 business days
- 4 business days
- 3 business days
New Minimum Time Period 15 business days
Contents of a Notice of Procurement
Each notice of procurement must contain all the information
that suppliers need to prepare and submit meaningful
responses.
This includes:
Essential details such as the agency’s name and address
and a description of the goods or services
Evaluative Criteria the agency will use to assess
responses, and;
If weightings are to be applied these must be published in
the notice.
Choosing supplier(s)
Award contract to the supplier that:
demonstrates
can
capability to deliver
meet contract conditions
offers
value for money (not always lowest price)
Inform and debrief unsuccessful suppliers
Publish contract award notice
Rules 43 - 47
Other requirements
Procurement processes
RFIs
are not a tender process
Other
options:
E-auctions:
shortlisted suppliers bid on price
or quality.
Competitive
Dialogue: shortlisted suppliers
work with buyer to develop solutions and
specifications
Rules 42
Collaboration
All-of-government contracts
Syndicated contracts
mandatory
use if they meet your requirements
Common capability contracts
mainly ICT, may be mandated for some
agencies
Rules 55- 57
Planning
Annual procurement plans
Extended procurement forecasts
MBIE review of significant business
cases:
$5M+
and/or
significant
potential
risk and/or
for collaboration
Rules 16 - 19
Other rules you need to know
Existing Cabinet mandates are incorporated
eg:
Web standards
Geospatial information
Intellectual property
Public private partnerships
Better business cases (capital projects)
Gateway assurance
Rules 58, 60 - 67
Opt-outs and exemptions
Open advertising exemptions
Examples:
Additional good services or works (criteria apply)
Following unsuccessful open tender (eg no
responses met requirements)
Only one supplier (eg for technical reasons)
Prototype or design contest
Emergency
Unsolicited unique proposal
Rule 15
Opt-outs & exemptions cont’d
Use opt-outs and exemptions judiciously
not automatically
Verify and document rationale
Get appropriate level of approval for exemptions
Publish contract award notice for exempt
procurement, including reason for exemption
Rule 15
Rule 45
Help!
Where can I get more information?
Contact (insert internal contact)
Find the Rules and procurement guidance, tools and
templates at: www.procurement.government.nz.
Sign up to the government’s procurement notice board for
regular features.
Questions?